President Prabowo Subianto Affirms Pancasila Economy as Main Compass for National Development

President Prabowo Subianto Tuesday (05/20) walks out of the plenary meeting hall after delivering his speech at the Presentation of the Macroeconomic Framework (KEM) and Fiscal Policy Principles (PPKF) for the 2027 State Budget Bill (RAPBN) at the Nusantara Building, Indonesian Parliamentary Complex, Jakarta. (Photo by: BPMI of Presidential Secretariat)

President Prabowo Subianto Tuesday (05/20) affirmed the Government’s commitment to adopting the Pancasila economy as the main compass for national development.

In his speech presenting the Macroeconomic Framework (KEM) and Fiscal Policy Principles (PPKF) for the 2027 State Budget Bill (RAPBN) at the Nusantara Building, Indonesian Parliamentary Complex, Jakarta, the President emphasized that the national economy must put people first and uphold social justice and national unity.

“We adhere to the economic principles of Pancasila. Our economy is founded on belief in God, centered on humanity, and oriented towards strengthening national unity,” the President stated.

The President also stated that economic development must not be oriented solely toward the interests of certain groups or regions. According to him, the state must be present to ensure a balance between economic growth and the equitable distribution of social welfare.

“Our economy must be socially just; our economy must prioritize all the people of Indonesia. The state must be present, the state must maintain balance, the state must ensure both growth and equality,” the President said.

President Prabowo Subianto also highlighted that good public services and a strong bureaucracy are essential prerequisites for a nation’s progress. The Government, he added, must be able to provide legal certainty and support the business sector in creating jobs for the people.

“There is no developed country that does not excel in providing public services. The Government must be reliable in helping the private sector create jobs. No country can progress with an unreliable government and a weak bureaucracy. No country can develop without legal certainty,” he said.

The President also stated that the Government is continuously strengthening state institutions by improving the welfare of state officials in order to build clean and professional institutions.

“Some of our judges’ salaries have increased by almost 300 percent,” he said.

The Head of State also reiterated the Government’s commitment to eradicating corruption and improving national bureaucratic governance and ordered all ministries and institutions to immediately address and resolve any misconduct within their respective authorities.

“We must be committed to continuously building a strong, professional, and non-corrupt government. We must work together to safeguard everything we have,” he said.

To strengthen a people-centered economy, the President also underscored the development of the Red and White Cooperative, which is expanding across various regions.

The Government, he added, aims to have tens of thousands of cooperatives operating by the end of the year to boost economic circulation in villages and districts.

“There are already 1,061 operational Red and White Cooperatives. Our target is to have at least 20,000 cooperatives operational by August, and by the end of the year, the number should exceed 60,000,” he said.

The President also emphasized the Government’s commitment to strengthening national energy resilience through the development of new and renewable energy sources, adding that the Government is also accelerating the development of solar energy and domestic resource-based energy processing to reduce dependence on imported fuel.

“We have announced a target to build 100 gigawatts of solar energy in the next three years. We will combine this with the conversion of motorcycles and cars from fuel-based to electric. God willing, we will eliminate our dependence on imported fuel and save our valuable foreign exchange,” the President said.

Through these various measures, the President stressed that the Pancasila economy is not merely an abstract concept, but a concrete strategy for building a sovereign, just, and prosperous Indonesia.

He also underlined that this approach ensures the state is present, the people are protected, and the future is built collectively by all components of the nation. (BPMI of Presidential Secretariat) (FI/EP)